Malaysia's AirAsia X has set an internal target to achieve revenue between RM3.5bn ($784 million) and RM4bn ($869 million) in 2025, along with a projected increase of over 17% in the number of passengers carried.
The airline announced this projection as part of its fourth quarter and full-year results for 2024. This also follows a statement on February 24, 2025, in which the airline stated that it will publish internal targets to improve its “transparency and accountability” as part of its financial disclosures.
The Kuala-Lumpur based airline reported a 7% increase in revenue for the fourth quarter of 2024, which reached RM872.3 million ($195.4). The airline attributed this growth to a stable passenger load factor and consistent capacity in line with the previous year. AAX said that in its traditionally strong fourth quarter, it recorded a net profit of RM22.6 million ($5.06 million), along with a net operating profit of RM54.3 million ($12.1 million), reversing a loss that was recorded in 2023.
EBITDA surged nearly 75% in comparison to the year prior to RM119.6 million ($26.7 million). AAX said this rise was supported by its increased revenue, lower aircraft fuel cost and aircraft lease expenses, as AAX moved away from a pay-by-hour model, where the airline paid for aircraft usage on an hourly basis.
The carrier carried close to 1.1 million passengers up by 20% on 2023, alongside a 20% increase in seat capacity to over 1.3 million seats.
On a full-year basis, AAX posted a revenue rise of 28% on the year prior, but the airline saw a drop in net profit across the 12-month period. The airline posted a revenue of RM3.2bn ($716.8 million), while net profit stood at RM229.1 million ($51.3 million) against RM336.5 million ($75.3 million) in the previous year. The airline said a drop in net profit was due to a reversal of provision, resulting in positive operating expenses in 2023.
“This is our third consecutive full year profit since 2022,” said Benyamin Ismail, AAX CEO. We are now determined to cross the final hurdle in our target towards the full reactivation of our fleet in the near future.”
The airline boss said its final aircraft, that is in long-term storage, is expected to return by the first half of 2025. He also said the airline is currently in the execution stage of inducting its 19th aircraft. AAXs total fleet size remained at 18 A330s as of December 31, 2024, with 17 aircraft now activated and operational.
Ismail also said that while MRO supply chain challenges remain within the industry, the carrier is working closely with aircraft maintenance partners to mitigate the impact.
In relation to the airlines subsidiary, AirAsia X Thailand (TAAX), it posted a revenue of RM454 million ($101.6 million), with a net operating profit of RM42.7 million ($9.5 million). TAAX carried a total of 463,463 passengers in the fourth quarter of the year, up by 26% on the year prior. Passenger load factor stood at 78% for the year, the company said this was underpinned by the move of TAAX’s operational hub from Suvarnabhumi Airport to Don Mueang International Airport in October 2024.
During the year, company shareholders approved the proposed acquisition of Malaysian investment firm Capital A's equity interest in AirAsia by the company for the value of RM6.8bn ($1.52bn). The acquisition was approved at an extraordinary general meeting held on October 16, 2024., with 99.08% of shareholders voting in favour of the acquisition.
Ismail said that the company is now moving forward with meeting the necessary conditions to complete the transaction.